Author: Complete Controller

The time has gone when companies use paper-based invoicing as electronic invoicing has become a norm; most business owners follow this trend as it simplifies the payment process. Now, you can increase your cash flow, reduce time, and spend less money. However, you must know whether you are using electronic invoicing correctly or not. If not, try these tips that will make you an expert in electronic billing.

1. Invoice with a PAC

So far, there are only 79 suppliers authorized by the SAT for the assignment of folio and incorporation of the digital stamp, so you must make sure you have the services of one of them to ensure that your invoices are valid and legal. Check the complete list of PACs in this link, as well as that of the companies that have been revoked here. 

2. Use the services of more than one PAC at the same time

Imagine you must send an urgent invoice; it is the last day of the month, and you must deliver the tax receipt before noon. You try to enter your billing portal, and there is a problem with the service, so it will take several hours before you can bill. Do not let this happen. As a taxpayer, you have the right to invoice through any PAC, so it is a good idea to have a second option in case one of the two has a problem.

3. Take care of your money

One of the significant advantages of electronic invoicing is the savings it represents in printing, messaging, administration, and backup costs. Still, you could waste money on services you don’t need or hidden fees if you’re not careful. Find out the options for plans, packages, and prices to pay exclusively for your needs.

4. When sending an invoice, send the XML file

It is a widespread error when it comes to electronic invoicing. We send or receive a PDF file in which we can see all the data, and we assume that this is our invoice, but no. The XML file generated by your electronic billing system is the invoice itself. You cannot read it because it is encrypted, which is why a graphic representation in a PDF file accompanies it.

5. Keep your invoices for five years

It is the required time that the SAT requests to safeguard all your tax documents. You can keep them on a hard drive, on your computer, or in the cloud, but in doing so, you are in danger of losing some of them or having something happen to your information.

6. Validate your invoices

According to the rules of the SAT, the taxpayer must validate all their invoices received. It means that you are responsible for ensuring that the information in the invoices you receive is accurate and legal.

7. Do not forget the design

Even when it is not an official requirement to have a particular design on your invoices, it is a good idea to include your company logo and choose the colors for issuing your invoices. Remember that advertising is everywhere, and your invoices are also a means of branding that will strengthen your brand.

8. Stay advised, and if in doubt, ask

Electronic invoicing is constantly changing; new regulations emerge and change those that have already been established, and in some cases, we can get lost in so much information. We advise you to choose a billing system that offers you good customer service and advice so that you can answer any questions quickly and easily.

9. Unique invoicing practices

If you are using electronic invoicing, it doesn’t mean you should forget all essential invoicing techniques. Consider invoicing tricks that give you the most profitable results.

• Always ask for the payments upfront. In this way, you can prevent getting played or donating your time.
• Personalize each client’s invoice and include the recipient’s name, contact, etc. Don’t forget to add the requested amount.
• Try to fulfill all your payment terms, which must be as simple as possible.
• Offer incentives, especially for the early payment process.
• Don’t forget to charge interest on late payments, bills, and fees.
• Add your contact, invoice number, and brand information.
• List all your products and services.

Electronic invoicing makes your business activities and proceedings easier. Your cash flow increases, and efficiently convey your message to your targeted audience. About Complete Controller® – America’s Bookkeeping Experts Complete Controller is the Nation’s Leader in virtual bookkeeping, providing service to businesses and households alike. Utilizing Complete Controller’s technology, clients gain access to a cloud platform where their QuickBooks™️ file, critical financial documents, and back-office tools are hosted in an efficient SSO environment. Complete Controller’s team of certified US-based accounting professionals provide bookkeeping, record storage, performance reporting, and controller services including training, cash-flow management, budgeting and forecasting, process and controls advisement, and bill-pay. With flat-rate service plans, Complete Controller is the most cost-effective expert accounting solution for business, family-office, trusts, and households of any size or complexity.

Have you ever heard the term social media benchmarks? Just as every industry and field has some measures to assess the progress against the targets, social media also has some criteria. These benchmarks evaluate the process and progress against the predefined industry standards. You might be thinking about why social media benchmarking is essential. So, the answer is that it gives you a context to analyze your numbers and decide whether they are good enough or not.

Importance of Social Media Benchmarking 

Social media benchmarks go through performance matrices comprised of multiple factors such as followers’ growth rate, engagement, number of posts, etc. The performance matrices help track your progress against competitors, giving you a 360-degree view of your performance. Here are some benefits of social media benchmarking that will improve your understanding.

• Its first and foremost benefit is that it keeps updating you with your competitors’ strategies and gives you insights to improve your strategy.   
• By benchmarking, you can assess the effectiveness of your current strategy.
• Social media benchmarks help you remain updated with the latest unique trends that dominate social media platforms.
• You can plan your budget to invest in critical areas and remove unnecessary spaces.

The advantages of benchmarking are not limited to the ones described above, as it helps you reach a broader audience.  

Followers’ Engagement   

It is essential to track because it helps you analyze whether your audience is interactive. This interaction doesn’t mean communicating with you regularly; instead, this term refers to the participation of your audience. Through this benchmark, you keep track of your audience activity, including likes, shares, and comments.

You must check out how often your audience likes, shares, or comments on your post when you upload it. Does your uploaded video get your audience’s views or not? To make your online marketing campaigns successful and widely recognized, some key performance indicators help you assess your performance. Followers’ engagement can be evaluated by following social media benchmarks.   

• Post frequency

This refers to the amount of content you post daily, weekly, monthly, and yearly. The number of posts per day or week is the standard for measuring post frequency. It gives you a clear view of your social media marketing effectiveness.
If there is a decrease in audience engagement with low post frequency, you need to improve your marketing strategy. On the contrary, if there is an increase or no reduction in audience engagement with low post frequency, keep going with the current marketing strategy.

This information is essential in formulating the right marketing strategy for your business. However, the crucial step in developing a social media marketing strategy is to know your audience first and plan accordingly.

If your audience is a daily user or participant, you must post regularly. On the other hand, if your audience is a frequent user, you can post weekly. Therefore, to make your social media marketing successful, know your audience and their participation style. Increasing engagement is the most useful social media benchmark.  

• Trending and hashtags

This social media benchmark doesn’t apply to every social media platform, but it is effective for Twitter and Instagram. The hashtag refers to using the symbol “#” before a word or sentence, making it searchable for the audience. Hashtags require greater attention because they keep updating regularly. To become a part of this trend, you must keep updated on the latest trending hashtags on social media.

Efficient use of hashtags can help generate traffic to your social media channel, thus resulting in the success of your marketing strategy. It would be best to be realistic and specific while using a hashtag; otherwise, it will not result in audience engagement.

Discover a brand slogan that you can transform into a hashtag. Communicate your brand message simply and straightforwardly to your target audience. Among the other social media benchmarks, trending and hashtags are specific to Instagram and Twitter.    

• Engagement rate

This key factor represents the internet environment and measures the participation of your target audience. You can find this through likes, shares, and comments on your single post. On Twitter, likes and shares can be considered engagement rates. Comments and shares are forms of engagement on Facebook. On the contrary, watch time likes and subscribers are supposed to measure the engagement rate.

For a website, time spent on a page, scrolling, and immediate action can be considered factors to measure the engagement rate. Different social media platforms use different matrices to measure performance.

Wrap Up

You can choose a performance metric based on your social media platform and the type of business. These social media benchmarks help you make your marketing strategies widely recognized and accepted by your audience. About Complete Controller® – America’s Bookkeeping Experts Complete Controller is the Nation’s Leader in virtual bookkeeping, providing service to businesses and households alike. Utilizing Complete Controller’s technology, clients gain access to a cloud platform where their QuickBooks™️ file, critical financial documents, and back-office tools are hosted in an efficient SSO environment. Complete Controller’s team of certified US-based accounting professionals provide bookkeeping, record storage, performance reporting, and controller services including training, cash-flow management, budgeting and forecasting, process and controls advisement, and bill-pay. With flat-rate service plans, Complete Controller is the most cost-effective expert accounting solution for business, family-office, trusts, and households of any size or complexity.

Launching an idea or a business project, large or small, without having drawn up a well-developed business plan can spoil your illusions. In these paragraphs, we explain the importance of this document, its usefulness, and some practical advice to carry it out successfully.

• Plasma, your motivations to undertake the reasons you start a business on paper.
• Describe in as much detail as possible what the product or service you will offer is.
• Identify your target audience: who is the recipient of the product or service you want to offer? Do not forget to segment the client by age group, sex, geographic location, level of studies, or any other criteria that can be used to refine the search.
• Set your goals. You must always have a reference or horizon to avoid losing perspective or getting away from the established plan. There will always be time to review the objectives and progress of your project to correct the course, if necessary.
• Thoroughly analyze the competition: its strengths and weaknesses.
• Be realistic. Excess optimism is one of the worst enemies for those wanting to start a business. Success does not come quickly; it takes a lot of work, foresight, and avoiding unexpected obstacles that inevitably arise along the way.
• Be concise and straightforward. It is not necessary to write a very long document, but one that is practical and functional. In this sense, graphics and images can be beneficial.
• It includes a marketing plan: advertising strategies, brand image, online and offline communication channels, etc.
• Do not neglect the human resources section. Good selection and proper management can be the key to the success or failure of a business.

Finally, remember that a business plan must be continuously updated; it is a “live” and constantly evolving document.

How to Use a Business Plan

A business plan is an internal guide to how to propose and manage a business idea and present it abroad. There are multiple purposes for which company owners use it, whether they have it at the domestic or international level. Let’s see what those purposes are, including internal or external use of it.

• Internally

For an entrepreneur or freelancer, the business plan is an indispensable tool to analyze and plan a project and discover its strengths and weaknesses. Your business plan must consist of some seriousness and realism. The implementation will be more comfortable, save you time, and you will have multiple success opportunities.

• Externally

You can use your business plan as a cover letter. It will help you in explaining your business ideas to entities. This way, the financial request will be attached to your business, such as banks, suppliers, private investors, public administrations, etc. You must make your business plan clear, well-raised, and direct. 

Communication

Company owners use a business plan to attract investment capital, strategic business partners, safe loans, and recruitment processes. It helps you enhance the communication level by which you can make a strong relationship with anyone attached to your business. You can make a higher profit by developing a comprehensive business plan. No matter whether it shows this potential or not. You will have to make it with a realistic look for each phase of your business. It also lets you indicate how much you work to solve the problems. In this way, you can decide all your potential alternatives. It will be best if you do it before launching your business.

Management 

It is the best tool to manage your business as you can track and evaluate your business progress with it. But the condition is that your business must be highly influential. A business plan can be dynamic because you can edit it well to gain experience and knowledge. Use your business plan to build milestones and timelines. It will help you gauge business progress and compare projections to real-world achievements.

Planning

You can use your business plan for setting goals and making plans as it is the fittest guidance for different phases of business. It must be a thoughtful business plan so that you can determine obstacles and roadblocks. This way, you will have multiple alternatives and the potential to remove all hindrances. You can also share your business plan with your employees for an extensive understanding of business dealings and contracts. You will know in which direction your business is going. About Complete Controller® – America’s Bookkeeping Experts Complete Controller is the Nation’s Leader in virtual bookkeeping, providing service to businesses and households alike. Utilizing Complete Controller’s technology, clients gain access to a cloud platform where their QuickBooks™️ file, critical financial documents, and back-office tools are hosted in an efficient SSO environment. Complete Controller’s team of certified US-based accounting professionals provide bookkeeping, record storage, performance reporting, and controller services including training, cash-flow management, budgeting and forecasting, process and controls advisement, and bill-pay. With flat-rate service plans, Complete Controller is the most cost-effective expert accounting solution for business, family-office, trusts, and households of any size or complexity.

It is one of the keys to correctly managing the appointment schedule: we must filter to obtain the best candidates and teach them the appropriate properties. Making an appointment that we know in advance does not fit the property means wasting both the agent and the client.

On more than one occasion, either by courtesy (for not appearing discriminatory when deciding whether a flat is suitable for someone or not) or for misinformation (not knowing who is scheduled to see a property), we fill the visit schedule with no more filters than those who have requested to see the house.

While we can never know for sure what property is perfect in all terms (economic, functional, etc.) for those who request an appointment, there are situations in which it is evident that it is not within reach or inadequate. In these cases, we must politely dismiss it and propose alternatives that do not cause rejection.

Sort by Sales Probabilities

Managing appointments is not the same as making appointments. The rush leads us to fill the schedule at all costs and reasonable intervals, giving time as they become interested in the property.

While this is common, whenever we can, we should order and give preference to those appointments for which we have helpful information that indicates a high interest or probability of being able to keep the property.

If we take care of these interested parties early, we may close the deal now and not waste time on the rest, to whom we can quietly offer other alternatives that may fit them.

Plan the Visit

How do you distinguish an agent committed to making a sale from someone who performs their work routinely? The best way to find out is in the way he raises visits.

A committed agent will not condense the visit to the fullest so that it will take 15-30 minutes to teach it but will show it in full by standing in detail where the visitor can make the most impression.

Planning also applies to the “linear” method of starting to teach since entering through the door. If the first thing we teach is a tiny toilet, it won’t look at all. However, despite being next to the entrance, we leave it for the end after witnessing a complete and spectacular bathroom in the bedroom area. It will appreciate that bathroom’s functional and auxiliary nature that wouldn’t have caught our attention initially.

Send Information in Advance

It is also an excellent way to make that filter that we referred to in the first of the tips: if before arranging a visit, or before it occurs, we ensure that all relevant property information is in the hands of the visitor, we will avoid surprises as you realize upload a third without elevator that is not what you want “for the rest of your life.”

Therefore, how we organize the visit as the source from which it comes is the tab on the real estate portals. These files must not be confusing and have interactive resources beyond the classic advertising text and several images.

Try New Methods From The Agency

And if, instead of motivating visits, we try not to make them happen, It is not about self-boycotting and refusing to arrange them but finding a way that they are not necessary or simply complementary (to verify that the property they are interested in is really what they want).

This is possible thanks to new methodologies such as virtual housing tours for real estate agents: a novel way to show properties from a distance and with detail, from where you want and time and as many times as necessary.

Thus, you can provide an exciting tour of the properties in 360 degrees so that they only request an appointment to visit them if they fall within their interests and can keep the house. We even see several interested parties through videoconferencing to resolve doubts as if we were inside the property. About Complete Controller® – America’s Bookkeeping Experts Complete Controller is the Nation’s Leader in virtual bookkeeping, providing service to businesses and households alike. Utilizing Complete Controller’s technology, clients gain access to a cloud platform where their QuickBooks™️ file, critical financial documents, and back-office tools are hosted in an efficient SSO environment. Complete Controller’s team of certified US-based accounting professionals provide bookkeeping, record storage, performance reporting, and controller services including training, cash-flow management, budgeting and forecasting, process and controls advisement, and bill-pay. With flat-rate service plans, Complete Controller is the most cost-effective expert accounting solution for business, family-office, trusts, and households of any size or complexity.

When we listen to the word intelligence, the first thing that pops up in our minds is some highly confidential information kept secret by federal agencies. Such types of information help governments in making important decisions regarding critical matters. When we hear the word intelligence, the first thing that comes to mind is government agencies like the FBI, CIA, MI5, NSA, etc. However, in business, the term intelligence has a slightly different meaning. Intelligence has equal importance in business as it has in every other profession. The function that intelligence serves in other sectors, business intelligence, serves the same purpose in industries. Business intelligence may not be as attractive as studying some of the world’s most renowned intelligence organizations, but studying BI and applying it in your business may unlock some new peaks of success for your business.

Business intelligence is an asset for many organizations that they cannot dispose of that quickly. It impacts an organization in many ways, some of which are:

Data Intelligence

The power of business intelligence can easily and instantly turn data into valuable and necessary information. It plays a vital role in fetching some meaning from the raw data provided to an organization by its different resources. For an organization, raw data, for instance, about customer segmentation or price preference, is not enough. Organizations need fully processed information to create the correct market and customer segments and launch their products/services. The systems that run on business intelligence can do a comprehensive and complete data analysis to benefit from it in many ways. Through business intelligence, organizations can see through the variations and changes in the dynamics of a market and adjust their strategies and plans accordingly. Organizations can also understand the linkage between different market functions through the power of business intelligence.

Visibility

Business intelligence provides visibility for organizations in their different departments. Visibility can be in many ways, such as core business processes and components, business functions, etc. Often, entrepreneurs overlook many minor business functions, and they are neglected. Such happenings are due to a lack of visibility. Business intelligence brings those functions into the visible range of entrepreneurs and their managers. Through the power of BI, entrepreneurs can keep track of everything within their business. Due to such advancements, many business owners can see where the problem is, and they can easily counter and tighten those soft ends.

Improvement in ROI

Business intelligence provides an in-depth departmental analysis of an organization and enables it to manage its resources best and allocate them as per its needs. Such a process is known as intelligent allocation of resources, and through this approach, organizations can achieve their goals most effectively and efficiently. It has a tremendous positive impact on the ROI of a business, enhances an organization’s ability to attain its goals promptly, and sets the ROI on an upward slope.

BI transforms information into usable data. Unprocessed information doesn’t instruct us in business thoroughly, all alone. BI frameworks consider the far-reaching examination of data to recognize significant patterns. They can be further utilized to adjust or execute essential plans and comprehend the interconnections between various capacities and features of your business.

It likewise improves the permeability of center business parts. BI makes it simpler to see every segment of some portion of your business, including those that get disregarded. Thus, you can more effectively distinguish components that need improvement and make changes. This logical upheaval can make your business less anomalous and progressively effective at each stage. At last, business knowledge examination of critical information expels the company’s mystery by evaluating answers for complex issues instead of depending on vague impressions or gut senses.

About Complete Controller® – America’s Bookkeeping Experts Complete Controller is the Nation’s Leader in virtual bookkeeping, providing service to businesses and households alike. Utilizing Complete Controller’s technology, clients gain access to a cloud platform where their QuickBooks™️ file, critical financial documents, and back-office tools are hosted in an efficient SSO environment. Complete Controller’s team of certified US-based accounting professionals provide bookkeeping, record storage, performance reporting, and controller services including training, cash-flow management, budgeting and forecasting, process and controls advisement, and bill-pay. With flat-rate service plans, Complete Controller is the most cost-effective expert accounting solution for business, family-office, trusts, and households of any size or complexity.

Going through the content calendar, do you ever think about how we developed this blog content plan? Planning a content calendar is not a difficult task to perform. You can go through other people’s business blogs to get an idea of topics. However, not all other business blogs help plan a blog content strategy, nor are they relevant niche. Therefore, here are some ideas for developing a content plan, but you must know what a content plan is before proceeding with the pictures.

Blog Content Plan 

A content plan is a calendar that contains details of future blogs, such as their publishing date, format, topics, social media plan, etc. It includes the overall schedule of a blog post from beginning to end. The content calendar helps monitor a single blog post across the different phases.

Why do You Need a Blog Content Plan?

Why do you need a content plan when you can write blogs regularly, even without it? So, the answer is, some days you come up with many ideas while others don’t know which topic to write. Therefore, the content plan helps you choose the issues quickly without overthinking.

It doesn’t only give you a list of topics but also helps in identifying the priority topics. If you develop a blog content plan, you don’t need to worry about issues for the next 1 to 2 months. It contains a fixed list of topics you must write a blog on. Here are specific reasons you need a blog content strategy for your business.

• The blog content plan contains dates on which the blog post you should complete will make you more accountable. You prioritize your work as per the scheduled dates to achieve every blog post on time.
• After publishing a blog post, you don’t need to think and search again for a new topic, as the content calendar contains a list of topics to choose from. It keeps you organized by enabling you to follow a systematic blog writing process.
• A content calendar helps you identify the gaps in your content topics. Therefore, you can change the content plan to meet your goals.

Ways to Develop a Blog Content Plan

Here is the best way to develop a content calendar for your business that keeps you organized and accountable.

Design a schedule 
How much do you spend writing a single blog? Initially, maybe you want to post 5 to 6 blog posts per week to keep your readers engaged, but is it the right way? Not. Over time, responsibilities will increase, and you must choose between quality and quantity.

You might be thinking of lessening the quantity when responsibilities are more extraordinary. But always remember that an inconsistent blogger is worse than anything, who either publishes four blog posts one week or posts nothing at all. Therefore, you need a plan to post blogs consistently every week.   

Know your goals

Remember that you write blogs and the main objective behind every blog post. Whether you want to drive website traffic, create brand image, go customers to stores, get email subscriptions, generate income, attract clients, or enjoy increased affiliate sales. Therefore, know your objectives and design a blog content strategy accordingly.

Understand the audience 

You must first understand your readers for whom you are writing your blogs. Pay attention to the topics that get higher clicks or the issues people search for. Once you know the reader, you will develop your content to answer your reader’s questions.

Keyword research

Once you have identified your target audience and the topics they want to explore, you need to do keyword research on the specified subject. You must choose a few keywords representing your blog post content.

Develop a content calendar 

You can use Trello, WordPress, or any physical calendar to design a blog content plan for your business. Develop a checklist to mark those blogs’ topics. You can schedule a weekly topic calendar or a monthly list of topics to keep your blog posts organized.

Choose blog post topics

After identifying your target audience, please research niche topics and gather keywords related to them. Come up with some exciting blog post titles. Check out the other websites to have an idea of blog post titles. You can also check out your competitors’ strategies for an efficient blog content plan.

In a nutshell, developing a blog content plan takes your quality time initially. You don’t need to waste your time regularly searching for topics. By preparing an efficient content strategy, you can grab your audience’s attention through your blog posts. About Complete Controller® – America’s Bookkeeping Experts Complete Controller is the Nation’s Leader in virtual bookkeeping, providing service to businesses and households alike. Utilizing Complete Controller’s technology, clients gain access to a cloud platform where their QuickBooks™️ file, critical financial documents, and back-office tools are hosted in an efficient SSO environment. Complete Controller’s team of certified US-based accounting professionals provide bookkeeping, record storage, performance reporting, and controller services including training, cash-flow management, budgeting and forecasting, process and controls advisement, and bill-pay. With flat-rate service plans, Complete Controller is the most cost-effective expert accounting solution for business, family-office, trusts, and households of any size or complexity.

Property damage insurance is an additional constraint and cost when building a home. While it is an additional cost, it can be financial protection you will need in the long term. A professional or private builder can be vulnerable to hidden defects that could severely impact the property in the years after work.

Property damage insurance, by design, is to help safeguard builders and homeowners in case of damage due to accidents, defective materials, construction, or acts of God. The property damage insurance contract is taken out at the opening of the works for ten years. Unlike the other insurances, it is payable in one term for its entire duration.

The guarantees of property damage insurance are in effect upon the final acceptance of the property and construction. Its single premium can be included in the final total of the construction financing. The banks ask for it, most often justified by a security measure of the property’s value given as a loan guarantee.

The notaries include the property damage insurance data in the deeds of sale. Where applicable, the new purchasers are automatically substituted for the old ones for the remaining term of the guarantee. Do not confuse the property damage insurance, which protects the house’s owner, with the building professional’s decennial insurance.

Is it Worth Making an Insurance Claim?

Insurance is to offset the risk and incredibly huge damages and financial losses. Occasionally, filing an insurance claim can be evident if it’s a car accident. In case of any unexpected disaster, it is worth making an insurance claim since you save a lot of money and time after the damage.

How do I Prevent Contract Fraud?

Follow proper protocols and tips to protect yourself from signing a contract with fraud.

• Search for the company on Google
• Pick the company that takes time to answer all of your questions without hesitating or getting frustrated
• Contact your state insurance department
• While doing an online search, add the words rip off and scam to find out if there are any complaints listed

What are the Benefits of Property Damage Insurance?

When there is a severe problem with building a house, it is often necessary to act very quickly to prevent the proliferation of difficulties. The procedures are long and painful, and the unscrupulous or incompetent contractor may have disappeared in the meantime.

The property damage insurance takes care of the necessary repairs so that the owner loses the enjoyment of his property as soon as possible. The insurance company will turn against the manufacturer to get a refund.

The difference is considered from the point of view of efficiency in undertaking the necessary work and the stress caused by this kind of situation unknown to private individuals. In the event of the sale of the property, the one who does not benefit from the property damage insurance for ten years following its reception would be attributed, rightly, a consequent loss of value.

Even for work done by the owner himself, it is better to provide this damage insurance, which will complement that of the professional responsible for other work so that the whole is covered correctly.

Conclusion

In conclusion, property damage insurance is a crucial safeguard in construction, offering financial protection against unforeseen accidents, defective materials, or acts of nature. Despite being an additional cost, its value becomes evident in the long-term security it provides to both builders and homeowners. The guarantees it offers and its inclusion in property transactions and financing make it a vital component in the construction process. Ultimately, the benefits of property damage insurance extend beyond immediate repairs, ensuring the sustained value and integrity of the property over the long term.

About Complete Controller® – America’s Bookkeeping Experts Complete Controller is the Nation’s Leader in virtual bookkeeping, providing service to businesses and households alike. Utilizing Complete Controller’s technology, clients gain access to a cloud platform where their QuickBooks™️ file, critical financial documents, and back-office tools are hosted in an efficient SSO environment. Complete Controller’s team of certified US-based accounting professionals provide bookkeeping, record storage, performance reporting, and controller services including training, cash-flow management, budgeting and forecasting, process and controls advisement, and bill-pay. With flat-rate service plans, Complete Controller is the most cost-effective expert accounting solution for business, family-office, trusts, and households of any size or complexity.

What we have heard in these years of startups are primarily positive and funny anecdotes:

• They create new markets.
• Question old business models; they obtain large amounts of money.
• They make great launch parties.
• They have excellent offices and much more.

But how easy is it to achieve such rapid startup success? Because it is not.

Startups are often considered doomed to fail. Many businesses fail within the first year; even if they survive, they will not last the past five years. There are many reasons that startups fail while others succeed. The best way to prevent failure is through understanding why startups fail.

Here are ten reasons startups fail and how to prevent them from failing.

Products Out of Time 

Creating products ahead of their time can be a pitfall. While innovative ideas may be excellent, success relies on fulfilling a genuine market need. Without a demand for the groundbreaking product, the company may struggle to generate income, leading to failure.

Startups should prioritize market research to ensure their offerings align with current needs and trends, increasing the likelihood of sustainable success. Understanding the market landscape is crucial for developing products that stand out and address real and immediate consumer demands.

Ignore Customers 

Ignoring customers is a critical mistake made by some startups. While having a great product is essential, success hinges on understanding and meeting customer needs. Focusing solely on product development without considering the target audience can lead to a misalignment between the product and market demand.

Startups should prioritize customer-centric strategies, engaging with potential users, gathering feedback, and tailoring their offerings to address specific customer pain points. Ultimately, a customer-focused approach enhances the chances of building a product that resonates with the market and drives sustained success.

Bad Marketing Strategy 

A flawed marketing strategy, not necessarily expensive, can doom startups. Relying on angel investors without active product promotion is a common mistake. Effective marketing, regardless of budget, is vital. A well-crafted strategy, or lack thereof, significantly impacts a startup’s success.

To thrive, startups must invest in intelligent, innovative marketing, reaching their target audience and showcasing the value of their products. A strategic approach can make or break a startup, influencing its visibility, customer acquisition, and overall trajectory in the market.

Necessary Business Model 

The importance of a necessary business model for startups debunks the misconception that a high-quality product alone suffices. The focus should be on addressing a specific need, be it local, regional, or national.
A superior product may not sustain a startup without a well-defined business model and strategic plan. Entrepreneurs must align their product offerings with a viable business model, ensuring they meet market demands and create a sustainable framework for the success of their venture.

Bad Product 

Neglecting the product due to a lack of business planning can harm startups. Continuous product evolution is crucial, and monitoring consumer feedback is vital for quality improvement. Startups must prioritize business plans, incorporating feedback loops for product enhancement.

Failing to adapt based on consumer responses can result in an inferior product over time, hindering the startup’s competitiveness and long-term success. Consistent product evaluation and refinement are integral to meeting customer expectations and staying relevant in the market.

Price 

The often-overlooked relationship between product price and quality can disappoint startups. Ignoring costs may lead to a startup’s demise, emphasizing the need for a balanced pricing strategy that reflects the product’s value. Failing to align price with quality impacts profitability and affects consumer perception and market competitiveness. Startups must carefully consider pricing strategies, ensuring they strike a balance that sustains the business, maintains quality, and meets customer expectations.

Self-Competition 

Caution is needed when introducing a new product that complements an existing business model, as self-competition risks market cannibalization. Startups must carefully strategize to avoid undermining their offerings. Balancing innovation with market preservation is essential to prevent internal conflicts and ensure sustained success. 
Mindful product positioning and differentiation are vital in navigating the delicate balance between expansion and self-competition, safeguarding a startup’s market share and growth potential.

Wrong Team

Selecting the wrong team can lead to failure. Clearly define roles and responsibilities, ensuring each member measures necessary progress. Misassignments can lead to setbacks. Carefully choose a support system, prioritizing expertise over personal relationships, to foster a productive and cohesive team dynamic. The success of a startup relies heavily on assembling a capable and well-aligned team committed to achieving common goals.

Lack of Funds

Insufficient funds pose a significant challenge for startups. Often reliant on financial or family credit, allocating resources wisely and tracking return on investment (ROI) is crucial. Establishing austerity models from the outset aids in avoiding liquidity problems. Careful financial management and strategic planning enhance the chances of navigating the early stages of a startup without facing critical funding shortages, ensuring a more sustainable path forward.

No Need for the Market

Validating market needs is paramount. Before entering the market, entrepreneurs must ensure their product addresses a specific need or solves an existing problem. Understanding and managing consumer pain points increases the likelihood of market acceptance and long-term success. Startups that align their offerings with genuine market demand are better positioned to thrive and establish a meaningful presence in their industry.

Conclusion

Not all startups are doomed to fail. It is merely necessary to understand that a newly created company is facing an unknown path, its day-to-day is uncertain, and The main mistake that should not be committed is to stick to a business plan as if it were law and operating in the traditional way as do large companies.

About Complete Controller® – America’s Bookkeeping Experts Complete Controller is the Nation’s Leader in virtual bookkeeping, providing service to businesses and households alike. Utilizing Complete Controller’s technology, clients gain access to a cloud platform where their QuickBooks™️ file, critical financial documents, and back-office tools are hosted in an efficient SSO environment. Complete Controller’s team of certified US-based accounting professionals provide bookkeeping, record storage, performance reporting, and controller services including training, cash-flow management, budgeting and forecasting, process and controls advisement, and bill-pay. With flat-rate service plans, Complete Controller is the most cost-effective expert accounting solution for business, family-office, trusts, and households of any size or complexity.

Are you using a single bank account for your personal and business finances? You must consider separating the two since this is a bad practice that can have adverse financial consequences. Every company should have a separate business bank account.

GAAP mentions that a business should start with a separate entity concept. It says that the business is different from its owner, and the owner should keep their finances separate from the business.

The separate entity concept helps you assess your business’s financial situation and see how rapidly it grows. It also makes the accounting process more manageable and enables you to identify the areas where some work might be needed.

Why Separate Personal and Business Financing?

One of the primary reasons your business should stand as a separate entity from your finances is taxation. Tax authorities charge taxes separately on business accounts, and tax rates also differ on corporate accounts. Therefore, businesses can never keep their earnings in their accounts because authorities don’t allow that.

Audit and compliance problems would also arise if you started co-mingling your personal and business finances or keeping both funds in your accounts. If you start saving your personal and business earnings in one account, you won’t be able to properly assess your business’s financial performance and growth over a certain period.

Keeping business and personal finances separate can benefit an entrepreneur in various ways.

Here are some reasons for keeping the personal and professional accounts separate.

A Reduction in the Amount of Payable Tax

Certain expenses incurred in a business reduce the tax an entrepreneur needs to pay on their business account. Suppose an entrepreneur uses their business account to pay for the costs incurred. In that case, some expenses might be deducted from the tax they must pay.

Keeping the finances separate helps entrepreneurs present a better picture of their business finances before tax regulatory authorities. This practice proves its worth when you file for your business taxes.

Convenience in Audit

Suppose you are an entrepreneur and started your business with a separate business account. In that case, it will significantly help when the government audits your business. Different business and personal financial accounts can make compliance easier for an entrepreneur with federal regulatory bodies’ regulations. When a regulatory authority conducts a business audit, they see certain documents, for instance, financial reports, supporting documents, tax returns, etc.

When an authority asks for the paperwork under such circumstances, it will be much easier for business owners to produce their expense lists if their personal and business accounts are separate. Another benefit of keeping both accounts separate is that, as a business owner, you can ensure that you are not paying your expenses from your business account or vice versa.

Easier for Your Accountant

There is a rule in corporate finance that no business owner should use their business account to pay for their expenses. A business account must only be used to pay for costs incurred. This way, it is more convenient for an accountant to record the receipts and memos. It becomes easier for them to produce the paperwork when any government regulatory body conducts a tax audit.

Besides that, it is also an accountant’s job to compare the financial position over two years to prepare a report and submit it to the board of directors. Keeping both accounts separate can help them easily fetch the files and go on with their comparison.

Financial Stability

Every ambitious person starting their venture knows it can become a failure and that putting a business in place is a calculated risk. There will come a time when your business goes through some turbulence. It is best to keep both accounts separate and some of your business income in your personal account to benefit you during tough times.

There are several other reasons to keep your business finances separate from your accounts. They are all for the benefit of a business and keep it aligned with federal laws and regulations.

About Complete Controller® – America’s Bookkeeping Experts Complete Controller is the Nation’s Leader in virtual bookkeeping, providing service to businesses and households alike. Utilizing Complete Controller’s technology, clients gain access to a cloud platform where their QuickBooks™️ file, critical financial documents, and back-office tools are hosted in an efficient SSO environment. Complete Controller’s team of certified US-based accounting professionals provide bookkeeping, record storage, performance reporting, and controller services including training, cash-flow management, budgeting and forecasting, process and controls advisement, and bill-pay. With flat-rate service plans, Complete Controller is the most cost-effective expert accounting solution for business, family-office, trusts, and households of any size or complexity.

A strategic plan allows you to set objectives and daily actions to achieve them. It also serves to unify the efforts and collective expectations of the business. Within the business management scope, managers must focus on strategic direction. 

Forming a strategic plan forces the executives to see planning from a macro perspective, pointing out the central objectives so that the daily actions approach the goals. It also maintains both the focus on the future and the present. It reinforces the principles acquired in the vision, mission, and strategies.

The strategic plan favors management and business coordination by unifying collective efforts and expectations and assigning priorities to the resource destination. While there are no absolute rules regarding the proper structure, most follow a similar pattern and have common attributes. Many frameworks cycle through some variation on some fundamental phases.

Here are the phases that should be followed to develop a strategic plan for the success of your business.

Analysis or Assessment

Analysis or assessment is an understanding of the current internal and external environments. This understanding is developed to help formulate the strategic plan. It is necessary to analyze or assess data to manage the plan successfully.

Strategy Formulation

Once the analysis is complete, a high-level strategy is formed, and a basic business-level strategic plan is documented. This process stage is the most challenging because it must be detailed and accurate for the plan to succeed.

Strategy Execution

After the strategy is formulated and all involved agree the plan is solid, it must be executed. At this point, the strategic plan is translated into more operational planning and action items. If followed precisely, the plan should be completed, and adjustments should be made as needed.

Evaluation and Management

The evaluation and management phase will allow ongoing refinement and evaluation of performance, culture, communications, data reporting, and other strategic management issues. This stage of the strategic plan will be where adjustments can be made.

Benefits of a Strategic Plan

It allows companies, instead of being reactive, to be proactive.

Any strategic plan will give companies a clear vision to see their future and prepare themselves accordingly. A business can expect certain unfavorable situations before they happen and take obligatory precautions to avoid them through strategic planning.

With a firm strategic plan, companies can be enterprising rather than purely reacting to situations as they arise. Being proactive allows companies to keep up with the never-ending trends in the market and always hang on one step ahead of all the competition.

It puts up a proper direction.

A strategic plan always assists in explaining the direction in which the business should be traveling and helps set realistic goals and objectives that are in line with the mission and vision charted out for it.

Every strategic plan gives an even more necessary foundation from which a business can evaluate its success, grow, compensate employees for establishing boundaries, and pay them for efficient decision-making.

It expands operational efficiency.

A strategic plan also provides a vision to align the functional activities of the business to achieve the goals set. It conducts management discussions and decisions in determining resource and cash requirements to acquire set goals — thus leading to increased operational efficiency.

It helps to increase profitability and market share.

Businesses can acquire precious insights into the ongoing market trends and consumer segments through a strategic plan. An approach that is aimed and well-planned to turn all sales and marketing efforts into the most excellent possible results can help to gain market share and profitability.

 GCI Finance explains that making a strategic plan is not enough to write; they have to establish a series of mechanisms to track it and adapt to the changing reality.

Conclusion

A strategic plan contributes to creating and redefinition corporate values ​​such as teamwork, quality in the service, commitment to the business, and innovation and creativity. There are many different frameworks and methodologies for strategic planning and management. 

About Complete Controller® – America’s Bookkeeping Experts Complete Controller is the Nation’s Leader in virtual bookkeeping, providing service to businesses and households alike. Utilizing Complete Controller’s technology, clients gain access to a cloud platform where their QuickBooks™️ file, critical financial documents, and back-office tools are hosted in an efficient SSO environment. Complete Controller’s team of certified US-based accounting professionals provide bookkeeping, record storage, performance reporting, and controller services including training, cash-flow management, budgeting and forecasting, process and controls advisement, and bill-pay. With flat-rate service plans, Complete Controller is the most cost-effective expert accounting solution for business, family-office, trusts, and households of any size or complexity.